West Chinas Shaanxi Iron & Steel Group aims to extend its international presence as part of the Chinese one belt, one road initiative, with two steelmaking projects in Indonesia.
"Indonesia imports 12 million tonnes of steel products every year, and [that is] expected to rise to 30 million tonnes by 2020," Shaanxi Steel Group president Yang Haifeng told delegates at the China Iron & Steel Associations 16th International Steel Market and Trade Conference in Xian. "This project will fill the gap in Indonesias steel market by producing steel locally [using] iron ore from Shandong Fuhai Group."
Along with other investors, Shaanxi is also planning to build a "Shaanxi Steel Industrial Park" in Indonesia through its subsidiary Hangang Co.
Yang said this project would be implemented in four phases to bring about a steel production capacity of 3 million tonnes with product including bars, wire rod, sections, strip, plates, vanadium-bearing pig iron, vanadium slag and titanium-rich slag.